TyraTech Inc (LON:TYR) has seen strong growth in sales of its poultry mite dust and its equine fly repellent.
The life sciences company is now focused purely on nature-derived insect and parasite control products following the sale of its Vamousse head lice shampoo, and it has been encouraged by the recent progress made in the development of innovative solutions to producers of animal proteins.
Starting from a modest base, unit sales of PureScience, its product to control mites on chickens, have more than doubled versus last year on a moving annual total basis and are still growing steadily, TyraTech said.
The company is in the process of expanding the usage of its PureScience poultry mite dust to Europe, where the market is larger.
Sales of its equine fly repellent product, OutSmart, to its partner SmartPak, are up sharply year-on-year in the first part of 2018.
Despite a good start to the year, TyraTech is not expecting a strong fly season due to the sustained cold weather.
The group ended the year with around US$14.4mln in cash and cash equivalents, of which around US$8.4mln was distributed to shareholders in January 2018 by way of a tender offer.
Overall, total revenue for 2017 was US$1.2mln versus US$658,000 in 2016. Of this, product revenue was US$872,000 compared to US$325,000 in 2016, an increase of 169%. This increase in product revenue is primarily a result of the full launch of OutSmart equine fly repellent and the expansion of distribution of its PureScience product to control mites.
The loss from continuing operations for 2017 was US$4.4mln versus US$4.5mln the year before. The loss before tax from continuing operations narrowed to US$3.9mln from US$4.5mln in 2016.
"We are pleased to show that, in a short period of time, we are making significant progress in developing new products and solutions for some of the largest animal health market segments and to answer some of the biggest unmet needs,” said Bruno Jactel, the chief executive officer of TyraTech.
“Now that we have set-up our new strategic focus, all our efforts will be concentrated on rolling-out the commercialisation of existing products in the US and in other countries, and developing new products for some of the biggest animal health market segments. Our clear short-term objective is generating sales of existing products and reaching the most significant product development milestones," he added.
Shares in TyraTech were down 0.15p at 2.25p in early deals.
Photograph of the TyraTech team preparing for field trials in France against the poultry red mite, the most significant laying hen pest in Europe. Most countries have an infestation level above 90%. Annual cost to European poultry production is estimated at ~€240M.#TYRU #TYR pic.twitter.com/moSQkun3uI— TyraTech, Inc. (@TyraTechNews) March 12, 2018